Skip to main content
Normal View

Housing Policy

Dáil Éireann Debate, Tuesday - 15 January 2019

Tuesday, 15 January 2019

Questions (226)

Fiona O'Loughlin

Question:

226. Deputy Fiona O'Loughlin asked the Minister for Finance the extent to which he can intercede with the EU institutions in view of the need to clear the way for an emergency local authority and affordable housing programme; and if he will make a statement on the matter. [1365/19]

View answer

Written answers

The fiscal rules to which Ireland is subject have direct application through a number of EU regulations and through the Fiscal Responsibility Act 2012. Any change to these regulations would have to follow the normal EU approach, beginning with a proposal from the Commission before consideration by Member States and the European Parliament.

The fiscal rules provide some scope for flexibility, where temporary deviations from the required budgetary adjustment are permitted, subject to strict conditions. There are also certain more explicit flexibility provisions within the rules. For instance, to facilitate public investment, increases in capital expenditure are smoothed over a four-year period, where only one-quarter of the increase is taken into account in the first year.

The rules also allow for deviations in the event of specific unforeseen circumstances – to date this has primarily been employed by several Member States in respect of costs relating to the refugee crisis – and to finance structural reforms that improve the long-term sustainability of the economy.

The Government has been clear that the provision of affordable housing is a top priority. The Rebuilding Ireland Action Plan outlines the Government’s strategy for tackling housing issues. According to the latest estimates, 63,727 housing solutions were delivered under Rebuilding Ireland, by the third quarter of 2018. In addition, last September, along with my colleague the Minister for Housing, Planning and Local Government, I signed the Establishment order for the Land Development Agency. The Agency will work to better coordinate State lands for regeneration and development in partnership with land-owning State bodies.

Finally, a wide range of housing measures were announced in Budget 2019, which provides a €2.3 billion investment in housing this year. This represents a 25 per cent increase on 2018, and is the most the State has ever spent on housing. Budget 2019 provides a further increase of €30 million for homelessness services, bringing the total allocation for 2019 to €146 million.

Top
Share